http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 14.17Change: 0.03
R/$ = 11.07Change: 0.01
Au 1238.28 $/ozChange: -4.47
Pt 1258.00 $/ozChange: 3.00
 
 
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?








Start
 
End
 
 
And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
 
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Oct 05, 2012

Transport giant sees SA rail success as integral to African aspirations

Back
Berlin|Salzgitter|Africa|Alstom Transport|Components|Lafarge|Locomotives|PROJECT|Transnet|Africa|Algeria|Brazil|China|Germany|India|Kazakhstan|Morocco|Russia|South Africa|Manufacturing|Services|Technology Transfer|Transport|Andreas Knitter|Henri Poupart-Lafarge|Rail|Locomotives|Central Europe|North Europe|South Africa|Sub-Saharan Africa
|Africa|Components|Lafarge|Locomotives|PROJECT|Transnet|Africa||Manufacturing|Services|Transport|Rail|Locomotives|
berlin|salzgitter|africa-company|alstom-transport|components|lafarge|locomotives|project|transnet|africa|algeria|brazil|china|germany|india|kazakhstan|morocco|russia|south-africa|manufacturing|services|technology-transfer|transport-industry-term|andreas-knitter|henri-poupart-lafarge|rail|locomotives-product|central-europe|north-europe-region|south-africa-region|subsaharan-africa
© Reuse this



Africa is a big potential growth market, given the urbanisation occurring on the continent, and winning the tender for the Passenger Rail Agency of South Africa’s (Prasa’s) fleet renewal programme would be a key milestone for the company, Alstom Transport president Henri Poupart-Lafarge told South African journalists during a media visit in Berlin last month.

He noted that, if successful, this would enable Alstom Transport to establish a base in South Africa from where it could eventually serve the rest of Africa.

Poupart-Lafarge noted that the R123-billion Prasa tender, which was aimed at the procurement of 7 224 new commuter coaches over 20 years in two ten-year contracts, and for which bids closed at the end of September, was a complex tender for both Alstom and South Africa, given the 65% localisation target.

Nevertheless, he believes Alstom has proved it is serious about localisation and technology transfer.

Alstom again reiterated its successful localisation strategies in other emerging econo- mies, including Brazil, Russia, India, China, Morocco, Algeria and Kazakhstan.

Further, Poupart-Lafarge said that, while Alstom was used to complex tenders, this was a particularly complex one, especially given the black economic-empowerment (BEE) requirements, which were expected to be announced by Prasa at the end of September.

BEE investors were expected to obtain a 30% equity interest in a project company that would be established to manufacture the passenger coaches.

Meanwhile, Alstom Transport was also planning to participate in Transnet Freight Rail’s (TFR’s) tender to procure 599 new dual- voltage electric locomotives for its general freight business by 2019. TFR’s tender is also subject to a localisation target of 60%.

Poupart-Lafarge stated that, if Alstom Transport failed to secure either of these tenders, it would be difficult to enter the South African market, given the size of the domestic rail market.

He noted that the company would have to ensure that there was an adequate economic incentive to establish a base in South Africa.

Meanwhile, Alstom Transport senior VP for North and Central Europe and Africa Andreas Knitter agreed that securing a substantial order in South Africa would enable the company to make further inroads into the rest of sub-Saharan Africa.

There was good opportunity in the region, but entry into that market would not be quick and not of the same magnitude as in South Africa, he said.

High-Speed Rail
Poupart-Lafarge said marketing very high-speed rail offerings to the South African market was not a priority for Alstom Transport at this stage.

He indicated that the distances between most of South Africa’s major cities made it unfeasible to launch such services, as it was best to limit high-speed transport between two cities to three hours.

Meanwhile, Alstom Transport also hosted South African journalists at one of its largest manufacturing factories, in Salzgitter, Germany.

The 200 000 m2 factory employs between 2 400 and 2 500 staff and produced about 140 trainsets, with on average four cars per trainset, in 2010. This will increase to about 210 trainsets a year over the next three years.

The Prasa tender will require the manufacture of about 360 cars a year.

The factory also produces about 1 000 bogies a year and undertakes the repair of about 3 600 freight locomotives a year.

Most manufacturing processes in the train manufacturing sector are not conducive to auto- mation, given that only a limited number of the same components are reproduced for any given contract.

Further, machines are not precise enough to achieve the required tolerances.

This means that a high number of skilled individuals, including welders, are required to work in such factories.

Edited by: Martin Zhuwakinyu
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Rail News
Public Enterprises Minister Lynne Brown
Updated 6 hours ago Public Enterprises Minister Lynne Brown has released details of the remuneration of the chairpersons and nonexecutive directors of the various State-owned company boards falling under her Ministry. The remuneration figures, which are attached, are based on figures...
Grindrod rail divisional CE James Holley
Updated 6 hours ago JSE-listed Grindrod’s rail division on Tuesday vowed to make rail operations more cost-effective in Africa, as Grindrod Locomotives unveiled its new, cost-effective fit-for-purpose shunting and short-haul locomotive. The new GS7, launched at Rovos Rail in Pretoria,...
Uganda could rely on income from future oil exports to finance an $8-billion railway if funding talks with China fail to bear fruit, its president said. Yoweri Museveni confirmed that Uganda had started negotiations with China on building the line that would link to...
More
 
 
Latest News
Updated 6 hours ago The Cape Town International Convention Centre (CTICC) has outperformed its targets over the past financial year and contributed R3.1-billion to the gross domestic product in the 2013/14 financial year. CTICC CEO Julie-May Ellingson said the convention centre had been...
Public Enterprises Minister Lynne Brown
Updated 6 hours ago Public Enterprises Minister Lynne Brown has released details of the remuneration of the chairpersons and nonexecutive directors of the various State-owned company boards falling under her Ministry. The remuneration figures, which are attached, are based on figures...
Updated 7 hours ago Installed wind power capacity could swell by 530% to 2,000 gigawatts (GW) by 2030, supplying up to 19% of global electricity, a report from a trade association and Greenpeace said on Tuesday. It said installed wind energy capacity totalled 318 GW at the end of last...
More
 
 
Recent Research Reports
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
Real Economy Insight: Automotive 2014 (PDF Report)
This four-page brief covers key developments in the automotive industry over the past 12 months, including an overview of South Africa’s automotive market, trade figures, production and the policies influencing the sector.
Real Economy Insight: Construction 2014 (PDF Report)
This five-page brief covers key developments in the construction industry over the past 12 months. It provides an overview of the sector and includes details of employment in the sector, infrastructure and municipal spending, as well as insight into companies’...
Real Economy Insight: Electricity 2014 (PDF Report)
This five-page brief covers key developments in the electricity industry over the past 12 months, including details of State-owned power utility Eskom’s generation activities, funding and tariffs, independent power producers and prospects for the sector.
 
 
 
 
 
This Week's Magazine
The broad-based black economic-empowerment (BBBEE) alignment process in the con-struction sector has begun, dur-ing which the sector codes of the Construction Sector Charter Council (CSCC) will be aligned with the revised Codes of Good Practice (CoGP), which come...
It is second time lucky for Toby Venter. Ten years ago he negotiated to buy the Kyalami racetrack, but “the deal did not materialise”.
Environmental solutions company I-Cat started construction work on its R22-million, 1 949 m2 environmentally sustainable office and warehouse facility, commissioned by I-CAT Environmental Solutions, at a launch event in October. The new sustainable I-CAT campus,...
IAN EVANS AirWatch file synchronisation and sharing system was initially designed for a large airline company
Effective file synchronisation and sharing across an organisation’s structures can provide the basis for robust mobile-device and document management while maintaining proper backup, version control and content distribution. These are the lessons learned by complex...
Hotel group Carlson Rezidor currently holds the largest hotel pipeline in Africa with 30 hotels and 6 300 rooms under development. The hotel group develops and operates Radisson Blu in the upper upscale segment and Park Inn by Radisson in the mid-market segment. With...
 
 
 
 
 
 
 
 
 
Alert Close
Embed Code Close
content
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
 
 
Close
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks